Lonmin Plc (ADR) (OTCMKTS:LNMIY) Contributes In WPIC

Six of the major platinum producers including Lonmin Plc (ADR) (OTCMKTS:LNMIY), Impala Platinum Holdings Limited (ADR)(OTCMKTS:IMPUY) and Anglo American Platinum Ltd(ADR)(OTCMKTS:AGPPY) have banded together to boost up interest in the platinum as a financial investment. The group head of The World Platinum Investment Council said that the investment potential of metal has been largely ignored. Now is the time to assess the platinum performance as an investment in the past 20 years. The demand for Platinum, unlike silver and gold, is laid by industry rather than by investors. It is used in several segments including catalytic convertors in motor vehicles.

The objective

The World Platinum Investment Council that is also funded by Lonmin Plc aims to create an active investment market for much-ignored metal platinum. The market will make it easier for investors across the globe to invest in platinum. With global economic growth seeming sluggish, the prices of platinum have declined more than 12% in this year to almost $1,200 an ounce. At the same time, gold prices have not posted any significant movement either way. However, they have fallen drastically from mid-year highs.

The funding organizations

The WPIC is funded by Aquarius Platinum Limited (USA)(OTCMKTS:AQPTY), Northam Platinum Ltd.(OTCMKTS:NMPNY), Anglo American , Aquarius Platinum, Impala Platinum, Lonmin PLC and Royal Bafokeng Platinum Ltd. All the mining firms are located in South Africa which accounts for almost four-fifths of global platinum output. As per WPIC’s website, there are nearly $10 billion in assets invested in platinum.

The group perspective

Paul Wilson, the CEO of WPIC, said that investment potential of platinum has been overlooked. Now, it is high time to make some changes in game form. Wilson is an advisory partner at Bain & Company and is Chairman of XL London Market Ltd. The aim of six firms including Lonmin is to attract the investment community including wealth individuals, institutional investors and mom and pop investors.

Related News

Leave a Reply

Your email address will not be published. Required fields are marked *

Copyrıght 2015 All RIGHTS RESERVED.